On November 9, 2026, Akamai Technologies, Inc. announced the pricing of a private offering of convertible senior notes. The company priced $1.1 billion in aggregate principal amount of 1.00% convertible senior notes due 2028 and an additional $1.1 billion in aggregate principal amount of 1.00% convertible senior notes due 2031.
The notes are being sold only to qualified institutional buyers under Rule 144A of the Securities Act of 1933. The offering includes an option for the initial purchasers to purchase up to an additional $150.0 million in aggregate principal amount of notes for each series, on the same terms and conditions. The sale of the notes is expected to close on November 12, 2026, subject to customary closing conditions.
According to the filing, the notes will bear interest at a rate of 1.00% per year, payable semi-annually in arrears on May 15 and November 15 of each year, beginning on May 15, 2027. The 2028 Notes will mature on November 15, 2028, and the 2031 Notes will mature on November 15, 2031.
The conversion rates for the notes are set at 8.8963 shares of common stock per $1,000 principal amount for the 2028 Notes and 9.7685 shares per $1,000 principal amount for the 2031 Notes. These rates correspond to initial conversion prices of approximately $112.41 and $102.37 per share, respectively. These prices represent a premium of approximately 40.0% and 27.5% to the closing price of Akamai’s common stock of $80.29 on November 9, 2026.
Akamai estimates that the net proceeds from the offering will be approximately $2,164.2 million, or approximately $2,459.7 million if the initial purchasers exercise their option to purchase additional notes in full. The company intends to use the net proceeds to repay a portion of its outstanding $1.15 billion aggregate principal amount of 0.375% Convertible Senior Notes due 2027, fund capital expenditures for its Cloud Infrastructure Services business, and for general corporate purposes.
